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HomeMy WebLinkAboutC2. GMD Letter of Support1 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Wendy Thomas, Community Development Director SUBJECT: Homeword and GMD Development LLC’s request for a letter of support from the City to the Montana Board of Housing (Low Income Housing Tax Credit Program) for the property located the north of Manzanita Drive between 12th and 14th Avenues MEETING DATE: July 20, 2015 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to sign a letter supporting the Homeword and GMD Development’s application to the Montana Board of Housing for low income housing tax credits for the proposed Stoneridge Apartments. BACKGROUND: Homeword and GMD have submitted a request for the City’s support of the group’s application to the Montana Board of Housing for low income housing tax credits. GMD is proposing the construction of a 110-136 unit affordable apartment complex on a lot within the Walton Farm PUD that is well suited for the development of affordable housing. The units will be leased to households earning less than 60% of area median household income. GMD has started the informal review process for the project. The project will be required to submit for site plan approval before it is authorized for construction. On May 11, 2015, the City Commission approved the allocation of up to $200,000 in Affordable Housing Funds to be used in support of the development of this project. Generally this funding source is used to pay impact fees. UNRESOLVED ISSUES: None at this time. ALTERNATIVES: 1) Authorize the City Manager to sign the attached letter. 2) Do not authorize the City Manager to sign the attached letter. 3) As determined by the Commission. . FISCAL EFFECTS: None. Attachments: Draft letter from the City Manager Report compiled on: July 15, 2015 7 CITY OF BOZEMAN 121 North Rouse P.O. Box 1230 Bozeman, MT 59771 Phone: (406) 582-2324 Cell: (406) 581-7026 TDD: (406) 582-2301 www.bozeman.net City Manager Chris A. Kukulski July 20, 2015 Ms. Heather McMilin Homeword, Inc. 1535 Liberty Lane, Suite 116A Missoula, MT 59808 RE: Homeword and GMD Development, LLC’s LIHTC application to the Montana Board of Housing for the creation of affordable rental housing on the property located on the northeast corner of Manzanita Drive and North 15th Avenue Dear Ms. McMilin, On behalf of the City of Bozeman, please accept this letter has an expression of the City’s strong support for the Low Income Housing Tax Credit (LIHTC) application Homeword and GMD Development are submitting to the Montana Board of Housing for the development of an affordable housing apartment complex providing 110 to 136 units of affordable rentals. The development will provide the City with additional affordable rentals, particularly family housing units. The proposed development will provide 136 family units on a parcel that is located on a transit line, is close to shopping, and employment areas within the City of Bozeman, and is consistent with the City’s Growth Policy and zoning. The approximate 4.45 acre site currently carries a land use designation and zoning that is consistent with the proposed development. We wholeheartedly support your efforts to provide new, affordable multifamily housing in this area of Bozeman. In 2012, the City Commission approved the Affordable Housing Action Plan wherein the community set of goal of creating 200 units of affordable rentals between 2012- 2016. Without the benefit of programs administered by the Montana Board of Housing, achieving these ambitious goals would be impossible. Construction of this development will allow us to take measurable steps forward toward meeting our goal. In May 2015, the City Commission approved the use of up to $200,000 in affordable housing funds to be used to support this development. The City of Bozeman is experiencing remarkable growth and affordable housing is in short supply. Your proposed project will help meet the need of small and large families at or below 60% of the median income. With the increased cost of housing in Bozeman, we feel that a project of this type will help address the housing needs of our community. We look forward to the addition of your affordable multifamily project to our community. Respectfully, Chris Kukulski City Manager Core Values Integrity: Be honest, hard- working, reliable and accountable to the public. Leadership: Take initiative, lead by example, and be open to innovative ideas. Service: Work unselfishly for our community and its citizens. Teamwork: Respect others, welcome citizen involvement, and work together to achieve the best result. 8